Earlier quoted context omitted.
I actually think something else happened, and to be honest I think many at Apple behind this decision are likely pretty surprised by the blowback. That is, it seems like Apple really wanted to preserve "end-to-end" encryption, but they needed to do something to address the CSAM issue lest governments come down on them hard. Thus, my guess is, at least at the beginning, they saw this as a strong win for privacy. As th…
That is, it seems like Apple really wanted to preserve "end-to-end" encryption,“ … except they still have not mentioned anything about E2E encryption… and they currently don’t encrypt icloud backups. You would think apple would get ahead of this story and mention … or maybe they don’t have any E2E plans at all.
As far as encrypted backups go, it's an open question whether they want to deal with the legal and support headaches that such a change would bring. If they continued to do nothing, Congress might force their hand by legislatively outlawing stronger encryption - they had to shit or get off the pot.
For users, if you enable this feature, but then lose your password, you are entirely screwed and Apple can't help you. Encrypting "In-transit" as a middle ground is likely good enough for most people, until researchers manage to come up with a better solution.